Statistics & Applications

Financial Math

Medium

applied

The present value of a perpetuity of ₹5,000 payable at the beginning of each year, if the money is worth 8% effective is

₹67,500

₹76,500

₹56,500

₹62,500

✅ Correct Option: 1

For a perpetuity due, payments start immediately, so $PV = R + R/i$ .

Here $PV = 5000 + 5000/0.08 = 5000 + 62500 = 67{,}500$ .

2026: 18 May Shift 2

If the cash equivalent of a perpetuity of ₹ 300 payable at the end of each quarter is ₹ 24,000, then the rate of interest per annum is:

2026: 22 May Shift 2

A person invested ₹2,00,000 in a mutual fund in year 2012. The value of the mutual fund increased to ₹3,00,000 in year 2017. The percentage of compound annual growth rate on the investment is:

(Given: $(1.5)^{1/5} = 1.084$ )

2025: 2 June Shift 1

A machine costing Rs 50,000 has a useful life of 4 years.The estimated scrap value is Rs 10,000 . The rate of depreciation per annum is:

2025: 22 May Shift 1

The term of the perpetuity is

2026: 26 May Shift 2

Let us denotes R=Periodic payment,i=interest per period per rupee ,n=number of payment,P=pricipal payment

Match the terms in List I with their respective formula in List II.

LIST-I	LIST-II
A. The amount in a sinking fund after $n$ period with payment at end	I. $\dfrac{Pi(1+i)^n}{(1+i)^n - 1}$
B. EMI by using flat rate method	II. $P\left(i + \dfrac{1}{n}\right)$
C. The amount in a sinking fund after $n$ period with payment at beginning	III. $R\left\{\dfrac{(1+i)^n - 1}{i}\right\}$
D. EMI by using reducing balance payment rate method	IV. $R(1+i)\left[\dfrac{(1+i)^n - 1}{i}\right]$

Choose the correct answer from the options given below:

2025: 27 May Shift 1

Ram had invested Rs. 15,000 in a mutual fund and the value of the investment at the time of redemption was Rs. 25,000. If the compound annual growth rate (CAGR) is 8.88%, then the number of years for which Ram has invested the amount is:

[Given: $\log 1.089 \approx 0.0370$ and $\log 1.667 \approx 0.2220$ ]

The present value of a perpetuity of ₹5,000 payable at the beginning of each year, if the money is worth 8% effective is

Solution

Related questions:

Keyboard Shortcuts

CUET Mathematics Past Year Questions (Topic-Wise)